FMC Tells Zim to Pay Samsung $3.7M for Unfair Demurrage Fees
The Federal Maritime Commission’s chief administrative law judge ordered ocean carrier ZIM Integrated Shipping Services April 22 to pay Samsung Electronics America $3.68 million for charging demurrage fees that violate the Shipping Act.
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Samsung "has established that ZIM failed to implement reasonable practices and procedures in implementing cargo holds" and that "ZIM’s cargo holds were unreasonable," the judge said. Therefore, "any demurrage incurred due to the unreasonable holds is also not reasonable."
Samsung, which filed its complaint in 2022, sought damages of more than $12 million. It accused ZIM of charging unreasonable demurrage and detention fees on nearly 3,000 containers carrying home appliances to the U.S. ZIM denied the allegations.